Netdragon Websoft Holdings Limited · HKEX:777
Netdragon Websoft — Q2 2026 Earnings Presentation
31 slides from Netdragon Websoft's earnings presentation, Aug 28, 2026
Slide 1: NetDragon Websoft Holdings Limited 2026 Interim Earnings Presentation
NetDragon Websoft Holdings Limited Stock Code: 777 HK 2026 Interim Earnings Presentation August 28, 2026
Slide 2: Disclaimer
Disclaimer This presentation is prepared by NetDragon Websoft Holdings Limited (the “Company”, together with its subsidiaries referred to as the “Group” in this presentation) solely for information purposes and is not to be construed as a solicitation of an offer to buy or sell any securities of the
Slide 3: Opening Remarks
Opening Remarks Dr. Simon Leung Group Vice Chairman 2
Slide 4: Agenda
Agenda Topic Speaker 1H26 Highlights Dr. Simon Leung, Group Vice Chairman 1H26 Financials Wood Lau, Group Interim CFO Gaming Lin Chen, Group Senior Vice President Mynd.ai Dr. Simon Leung, Group Vice Chairman AI Workforce Dr. Simon Leung, Group Vice Chairman Outlook Dr. Simon Leung, Group Vice Chairm
Slide 5: Key Highlights
Key Highlights Gaming Mynd.ai • In 1H26, gaming revenue delivered HoH growth, • Core segmental loss significantly narrowed by demonstrating the strong operational resilience of 35.4% YoY in 1H26 in the face of economic our flagship evergreen IPs. headwind. • The systematic deployment of AI Workforce
Slide 6: Financial Highlights
Financial Highlights Wood Lau Group Interim CFO 5
Slide 7: Key Financial Highlights
Key Financial Highlights (RMB million) 1H2026 1H2025 YoY Notes Revenue 2,090 2,381 -12.2% Gaming and Application Services 1,585 1,738 -8.8% Significant signal of stabilizing and recovering with HoH growth Mynd.ai 505 641 -21.2% Pace of industry wide demand recovery delayed Gross Profit 1,461 1,655 -
Slide 8: Segmental Financial Highlights
Segmental Financial Highlights (RMB million) Gaming and Application Services Mynd.ai 1H2026 1H2025 YoY 1H2026 1H2025 YoY (restated) Revenue 1,585 1,738 -8.8% 505 641 -21.2% Gross profit 1,321 1,498 -11.8% 140 163 -14.1% Gross profit margin (%) 83.3% 86.2% -2.9 ppts 27.7% 25.4% +2.3 ppts Core segment
Slide 9: LIN Chen
LIN Chen Group Senior Vice President 8
Slide 10: Gaming Revenue Returns to HoH Growth
Gaming Revenue Returns to HoH Growth： Structural Optimization, Community Development and AI Adoption Enhance R&D Efficiency Content Innovation Drive User Growth Expand AI Adoption Gaming Revenue and R&D Expenses (RMB Billion) Revenue R&D 1.56 1.53 1.37 1.39 0.6 0.4 0.3 0.3 2H2024 1H2025 2H2025 1H202
Slide 11: Evergreen Flagship IP: Sustainable Growth Potential Further Reinforced
Evergreen Flagship IP: Sustainable Growth Potential Further Reinforced Growing Community Engagement Significant Revenue Recovery Advancing AI Adoption 1H2026 MAU up 5.8% HoH and 24.1% YoY, 1H2026 Eudemons IP total revenue up 3.7% HoH, AI workflows for Eudemons PC cover key surpassing 3 million; ACU
Slide 12: 20th Anniversary Celebration Revitalizes the Evergreen Flagship IP
20th Anniversary Celebration Revitalizes the Evergreen Flagship IP Celestial Ruins Class Awakening System Revamps Public Welfare Initiative Targeted Digital Outreach New Zone + Storyline Ranger, Swordmaster, Star Sage Sealer, Social Crested Ibis Conservation & Player & Younger User Green City Sanmin
Slide 13: Diverse Content & Culture-Driven Updates
Diverse Content & Culture-Driven Updates Across Culture, Social, and Consumption Dimensions 1 3 5 6 7 8 AI 增 月 月 月 月 月 月 效 Horse Anniversary Annual Spirit Eudemons Celebration Appearances Major Events Eudemon Miss EO • [Content] Shandan • Time Series • [Consumption] • Crested Ibis • Spirit Eudemon -
Slide 14: Record-High Overseas Revenue
Record-High Overseas Revenue Significant Growth in Global Active Users • In 1H2026, Conquer IP's MAU surpassed 1 million, up 38.1% HoH and 47.6% YoY. • MMO progression enhancement and localized casual marketing drove healthy overseas revenue growth of 6.5% HoH and 19.3% YoY (USD-denominated, excludi
Slide 15: Enhanced IP Monetization Potential
Enhanced IP Monetization Potential Resilient Core Operations • Heroes Evolved PC revenue grew 2.3% HoH and 4.4% YoY in 1H2026, achieving seven consecutive half-years of YoY growth since 1H2023. • B.Duck collaboration boosted IP vitality and younger user appeal, driving a 37.1% HoH increase in net sp
Slide 16: Deepening Integration of Game + Cultural Tourism
Deepening Integration of “Game + Cultural Tourism” A virtuous cycle driven by policy support, deeper game-culture integration, higher user engagement, and enhanced monetization. Jan 2026 Jan 2026 Feb 2026 IP Expansion｜Eudemons Online × Cultural Tourism Conquer Online × Three Lanes and Seven Alleys H
Slide 17: Organizational Deployment of AI Employees
Organizational Deployment of AI Employees 2026 Plan Review 1H2026 Summary 2H2026 Outlook 1. Strategic Focus & Efficiency Goals: 1. AI employee workload 1. Building an AI-powered content Deploying 1,000+ AI agent employees by production and operations loop to drive contribution reached 35-40%, end-20
Slide 18: AI Operations Framework & Deployment Results
AI Operations Framework & Deployment Results AI Production Loop & Self-Learning AI significantly outperforms traditional AI Marketing System: Intelligent Decision & Learning workflows in efficiency. External External Advertising Platform LLM Platform Targeting / Budget Opt. Reasoning / Strategy Reac
Slide 19: AI+ Strategy & Outlook
AI+ Strategy & Outlook AI Content Production AI Operations 1. Product Localization 1. End-to-End AI Growth Loop Global language support for broader reach. Global launch capability across 100+ countries. 2. Differentiated Versions 2. Market Insights & Iteration Localized content and gameplay innovati
Slide 20: Mynd.ai
Mynd.ai Dr. Simon Leung Group Vice Chairman 19
Slide 21: Ongoing cost optimization led to significant narrowing of losses
Ongoing cost optimization led to significant narrowing of losses Consistent QoQ Improvement of Key Financials 1Q26 2Q26 Gross Margin Opex (673) 2.3 ppts 30% YoY (6,351) (8,521) (000 USD) (13,914) Adj. EBITDA Net loss 20
Slide 22: Next-gen product portfolio gained market favor
Next-gen product portfolio gained market favor ⚫ AP10 series took 67% of total shipment in 1H26, successfully replaced the ⚫ Next-gen value product AP LE took 29% of total shipment last generation AP9 products in 1H26, focusing on markets outside North America ⚫ Using cutting-edge technologies such
Slide 23: Substantial SaaS subscription growth readying AI empowerment
Substantial SaaS subscription growth readying AI empowerment ⚫ SaaS subscription grew 30% YoY in 1H26 ⚫ ActivSuite contributed nearly ¼ of subscription growth as the new platform deeply integrated with our next-gen flagship panels ⚫ Explain Everything grew steadily through incumbent channels 22
Slide 24: AI Workforce
AI Workforce Dr. Simon Leung Group Vice Chairman 23
Slide 25: Scenario-Driven Agentic AI Delivery Platform
Scenario-Driven Agentic AI Delivery Platform Powered by AI agents and designed for workplace, education, and content creation use cases, the platform provides users with ready-to-use AI tools that turn user needs into tangible deliverables. 24
Slide 26: Core Capabilities and Workflow
Core Capabilities and Workflow 02 Plan and AI Agent–Powered Foundation 01 Define the Need Orchestrate Users describe the goal in everyday AI breaks down the task, assembles AI agents enable autonomous decisions, task planning and execution— language—no complex prompts the best-fit virtual team and c
Slide 27: Building a Sustainable AI Business Ecosystem
Building a Sustainable AI Business Ecosystem 03 Diversified 01 Go-to-Market Strategy 02 Competitive Moat Business Models Eight Pilot Use Cases Data Flywheel Drives Improvement Six Monetization Paths Start with eight priority use cases to prove Each project becomes a reusable workflow Build an indust
Slide 28: Reshaping NetDragon's Growth Paradigm with a Systematic AI Product Strategy
Reshaping NetDragon's Growth Paradigm with a Systematic AI Product Strategy AI workforce businesses built on Moyu AI Powering Gaming | Education AIGC Story Motion Comics AI Education Storybook Studio Content AI Teaching Assistant Education 3E Premium Learning Interactive AI IP & Content AI-Native Ga
Slide 29: Outlook
Outlook Dr. Simon Leung Group Vice Chairman 28
Slide 30: Outlook
Outlook Gaming Mynd.ai ◆ Flagship evergreen IPs are expected to maintain steady and sustainable growth ◆ Continuous cost optimization ◆ The continuous deepening of the AI+ ◆ North American market to recover strategy will drive profitability growth from “cost reduction” to “efficiency ◆ AI applicatio
Slide 31: Q&A
Q&A Investor Relations Email：ir@netdragon.com 30
NetDragon Websoft Holdings — Q2 2026 Earnings Presentation on 6ix